The Dow surged above 50,000 points for the first time on Friday, shrugging off concerns around artificial intelligence companies as traders focused on prospects for US growth and potential Federal Reserve interest rate cuts.
The index, the oldest of the three major US equity benchmarks, powered to the landmark level shortly before 19:30 GMT, briefly retreated below 50,000 points, then pushed even higher to close the day near session highs.
It ended at 50,115.67, up more than 1,200 points, or 2.5 per cent.
The 50,000 mark represents “a nice big number,” said Briefing.com analyst Patrick O’Hare. “What it really reflects is a market that’s broadening out and buying into the growth story.”
The milestone in New York came on a mixed day for global stocks, while Bitcoin and precious metals both posted significant gains, extending a period of volatility across markets.
US stocks had been under pressure this week, with the Nasdaq falling in the last three sessions following steep declines in software equities and some tech giants tied to the AI sector.
On Friday, Amazon was the biggest loser on the Dow, dropping 5.6 per cent after announcing plans for $200 billion in capital spending in 2026 to expand AI capabilities.
Investors remain cautious that Amazon and other AI “hyperscalers” may not see sufficient returns on their massive investments, although their plans are expected to bolster infrastructure, banking, and other sectors.
Caterpillar, 3M, JPMorgan Chase, Goldman Sachs, Amgen, and Nvidia all rose by at least four per cent on Friday.
“The AI plans mean massive amounts of money are going to be deployed, and that filters out to other companies,” said O’Hare.
Gina Bolvin, of Bolvin Wealth Management, said Friday’s gains reflected “real confidence” in the outlook for earnings growth.
“Equity investors are likely to be rewarded — but the path won’t be smooth,” Bolvin noted. “Volatility should be expected. For investors, this is a reminder to stay intentional: lean into quality businesses with strong earnings power and be prepared for more rotation, not straight-line gains.”
Earlier Dow milestones include hitting 40,000 points in May 2024 and 30,000 points in November 2020.
The index has risen fairly steadily over the last two and a half years, apart from the period surrounding Donald Trump’s April 2025 “Liberation Day” tariff proposals, which he later withdrew.
“CONGRATULATIONS AMERICA,” Trump said in a social media post celebrating Friday’s benchmark.
Elsewhere, gold and silver rebounded after steep falls on Thursday, joining bitcoin, which climbed back above $70,000 after dropping to around $60,000 the previous day.
After steep losses on Thursday, European markets all pushed higher, while Asian bourses showed mixed results.
In company news, shares in Jeep maker Stellantis plunged more than 24 per cent in Paris after warning of a 22-billion-euro ($26-billion) write-down due to misjudging the shift in demand towards electric vehicles. Stellantis shares are now down around 80 per cent over the past two years.
Meanwhile, shares in British-Australian mining giant Rio Tinto finished flat in Sydney after dropping merger talks with Swiss resources firm Glencore, which would have created the world’s largest mining company, valued at around $260 billion.
Rio Tinto’s London-listed stock edged 0.3 per cent higher on Friday, while Glencore climbed 1.5 per cent, clawing back some of the previous day’s losses.
Toyota jumped two per cent in Tokyo after raising profit and sales forecasts for the current fiscal year, despite the impact of US tariffs.
Key figures at around 2115 GMT -
New York – Dow: UP 2.5 per cent at 50,115.67 (close)
New York - S&P 500: UP 2.0 per cent at 6,932.30 (close)
New York - Nasdaq Composite: UP 2.2 per cent at 23,031.21 (close)
London - FTSE 100: UP 0.6 per cent at 10,369.75 (close)
Paris - CAC 40: UP 0.4 per cent at 8,273.84 (close)
Frankfurt - DAX: UP 0.9 per cent at 24,721.46 (close)
Tokyo - Nikkei 225: UP 0.8 per cent at 54,253.68 (close)
Hong Kong - Hang Seng Index: DOWN 1.2 per cent at 26,559.95 (close)
Shanghai - Composite: DOWN 0.3 per cent at 4,065.58 (close)
Euro/dollar: UP at $1.1825 from $1.1777 on Thursday
Pound/dollar: UP at $1.3615 from $1.3531
Dollar/yen: UP at 157.09 yen from 157.04 yen
Euro/pound: DOWN at 86.82 pence from 87.04 pence
West Texas Intermediate: UP 0.4 per cent at $63.55 per barrel
Brent North Sea Crude: UP 0.7 per cent at $68.05 per barrel
